US sanctions against Russia, Iran may negatively affect LUKOIL

LUKOIL has certain risks associated with the negative impact of US sanctions against Russia and Iran on company’s shareholders and partners, as well as on the company itself, a source in the Russian company told Trend.

“The company [LUKOIL] is currently evaluating all kinds of risks: how will the situation develop and how tough will the sanctions be. Because LUKOIL is a transnational company, which has its ADRs (American depositary receipts) being quoted on the American market. Therefore, the company has certain risks if it violates any sanctions,” the company's representative stated citing President and Co-Founder of LUKOIL PJSC Vagit Alekperov.

US President Donald Trump announced on May 8 that Washington was walking away from Iran’s nuclear agreement, known as the Joint Comprehensive Plan of Action (JCPOA), which was reached between Iran and the five permanent members of the UN Security Council - the United States, Britain, France, Russia and China - plus Germany.

Trump also said he would reinstate US nuclear sanctions on Iran and impose "the highest level" of economic bans on the Islamic Republic.

Since the US withdrawal from the nuclear deal, European countries have been scrambling to ensure that Iran gets enough economic benefits to persuade it to stay in the deal. The remaining parties have vowed to stay in the accord.